Small- and Medium-sized Enterprise Development Programme is addressed to high-growth innovative manufacturing SMEs in non-financial sectors in Hungary.
Today, there are approximately 60,000 innovative HGCs (high-growth companies) in Hungary demonstrating above the average growth and employment rates. Motivated by the above fact, the Hungarian Government (Ministry of Finance and IFKA Public Benefit Nonprofit Ltd. for the Development of the Industry) has launched the Small- and Medium-sized Enterprise Development Programme. This 3-year comprehensive acceleration programme is addressed to high-growth innovative manufacturing small- and medium-sized enterprises in non-financial sectors (e.g. automotive industry, special-purpose mechanical engineering, health industry, food industry, ‘green economy’, ICT and service centre sector and the defence industry enterprises). The programme includes two components:
• total of 1,7 billion HUF programme (approx. 5.5 million EUR) addressed to capacity-building;
• total of 33,4 billion HUF grants allocated to strengthen their competitiveness and market positions at international markets.
The programme is composed by three phases:
a) Phase 1 (preliminary research): 2,000 HGCs has been identified and an interactive economic development map (including GIS) has been created.
b) Phase 2 (implementation phase): capacity-building workshops have been organized in rural cities to map the development needs of HGCs.
c) Phase 3 (skills- and capacity-building): international thematic study-visits and international fairs have been organized including 100+ companies.
Resources for the implementation of the programme:
Overall budget: 1,7 billion HUF (circa 5,5 million EUR)
Staff: 1 project manager + 1 financial manager + 3 external experts
Evaluators: 10 professionals
Evidence of success
• Companies participating in workshops: 222
• Companies involved in trainings: 150+
• Companies participated in thematic international study-visits, fairs and business meetings: 100+
• Companies accredited to training centres: 40+
• Financial resources already committed: 10 billion HUF (1st call) and the same amount is planned for the second call due in Spring 2019
The most difficult part of the implementation of the programme is the organization and finalization of professional interviews with managers of high-growth companies as they are occupied with multiple tasks, mainly due to the growth pace of their companies.
Potential for learning or transfer
The transferability of the practice depends on the available relationship with high-growth innovative enterprises as well as on the novelty of training materials proposed.